…need. Plan designs can vary in important ways. For example, depending on the plan: contributions can be discretionary or mandatory. They can favor older employees over younger ones. They can accumulate a balance like a 401k or a promised benefit as in defined benefit plan….
…prior year. We can help clients navigate the 80/120 rule based on their annual IRS Form 5500 filing information. For purposes of the 100 participant rule, a participant is defined as any employee of the sponsor who is eligible to participate in the plan, AND…
…Expands the definition of permissible distributions from retirement plans Increases plan loan limits Temporarily Waives Required Minimum Distribution Rules (RMDs) for calendar year 2020 Provides Funding Relief for Defined Benefit Plans Join us as we provide a summary of the changes impacting the retirement industry….
Cybersecurity is defined as the state of being protected against the criminal or unauthorized use of electronic data, or the measures taken to achieve this. What does this mean for your employer sponsored retirement plan? ERISA-covered plans often hold millions of dollars or more in…
Each year nondiscrimination testing must be performed on your Defined Benefit Plan. Do you have a strategy in place? The right plan design strategy can address potential testing failures. Join us on as we provide insights into what’s involved with nondiscrimination testing and what you…
…following example. Planning Plus, Inc., established a new 401(k) plan effective 1/1/2023. The plan does not have an automatic enrollment feature. Is Planning Plus’s 401(k) plan grandfathered for purposes of the auto enrollment/escalation mandate? The answer is, “no.” Grandfathered plans, for this purpose, are defined…
…business is eligible for the credit, the covered employees were not substantially the same employees who received contributions or accrued benefits in another plan sponsored by the business. Second, the new law also added an additional credit exclusively for defined contribution plans with 50 or…
…11, November 2022 [9] Employee Benefit Research Institutes, Workplace Account Leakage by the Numbers, 2022 [10] Munnell, Alice H., 2022, January 3, “Study on Leakages Narrows the Range of Estimates,” Center for Retirement Research at Boston College [11] 2023 Natixis Defined Contribution Plan Survey …
…and the changes that will happen next year and going forward. To review, a QCD is any otherwise taxable distribution (up to $100,000 for 2023) that an “eligible IRA owner or beneficiary” directly transfers from an IRA to a “qualifying charitable organization” as defined by…
…Roth contributions SECURE 2.0 allows defined contribution (DC) plan sponsors to provide participants the option to take matching or nonelective employer contributions on a Roth basis, effective as of December 29, 2022. With respect to this new provision, the Grab Bag notice provides the following…
…the 3-year credit related to small employer startup costs for employers with no more than 50 employees from 50% to 100% of startup costs. New employer contributions credit: A new 5-year credit for matching and nonelective contributions (to qualified plans other than defined benefit (DB)…
…credit for small employers SECURE 2.0 provides a new small employer (100 employees or less) tax credit for defined contribution (DC) plans that provide that military spouses are, within two months of hire, immediately eligible for and fully vested in employer non-elective and matching contributions…